5 year. Find the Total AmountFind the total dollar amount in an account where $80 is invested at a simple annual interest rate of 6% for 6 months.A. $41.20 B. $82.40 C. $84.80 D. $108.80Read the ItemYou need to find the total amount in an account. Notice that the time is given in months. Six months isyear.Example 2

6 I = prt Simple interest formulaFind the Total AmountSolve the ItemI = prt Simple interest formulaI = 2.4 Simplify.Answer: The amount in the account is $80 + $2.40 or $ The answer is B.Example 2

7 Find the total amount of money in an account where $60 is invested at 8% for 3 months.B. $61.20C. $62.20D. $62.30ABCDExample 2

8 The loan will be for 48 months or 4 years. So, t = 4.Find the Interest RateLOANS Gerardo borrowed $4,500 from his bank for home improvements. He will repay the loan by paying $120 a month for the next four years. Find the simple interest rate of the loan.Use the formula I = prt. To find I, first find the total amount of money Gerardo will pay.$120 ● 48 = $5,760He will pay $5,760 – $4,500 or $1,260 in interest. So, I = 1,260. The principal is $4,500. So, p = 4,500.The loan will be for 48 months or 4 years. So, t = 4.Example 3

10 LOANS Jocelyn borrowed $3,600 from her bank for home improvementsLOANS Jocelyn borrowed $3,600 from her bank for home improvements. She will repay the loan by paying $90 a month for the next five years. Find the simple interest rate of the loan.A. 7.5%B. 10%C. 12%D. 13.5%ABCDExample 3

11 (over Lesson 5-8)Find the percent of change. Round to the nearest tenth if necessary. State whether the percent of change is an increase of a decrease. original: 25 new: 2810.7%; increaseB. 10.7%; decreaseC. 12%; increase12%; decreaseABCDFive Minute Check 1

13 (over Lesson 5-8)Find the selling price for a book if the cost to the store is $65 and the markup is 30%.A. $45.50B. $46.15C. $84.50D. $95ABCDFive Minute Check 3

14 Find the sale price of a $120 lamp that is on sale for 15% off.(over Lesson 5-8)Find the sale price of a $120 lamp that is on sale for 15% off.A. $102.00B. $112.00C. $128.00D. $138.00ABCDFive Minute Check 4